Donaco International Ltd (ASX:DNA) Quarterly Activities - Cashflow Report
FRA:UGS) provides the following trading update for the three-month period ending 31 December 2020.
Since the reopening of the Star Vegas Resort and Club ( Star Vegas ) in Cambodia in late September, and the Aristo International Hotel ( Aristo ) in Vietnam, the December quarter was a turnaround period for Donaco with a return to positive EBITDA of A$3.70m and negative EBITDA of A$0.13m respectively, resulting in positive EBITDA of A$3.57m for the overall group.
The result was driven by a number of strategic initiatives executed by the new Board and Executive team to weather the impact from the pandemic, including a shift in customer targeting, with a renewed focus on attracting clientele from the local region to Star Vegas, to in turn reduce international staff expenses. This was combined with a continued cost control strategy, including the adjustment of service provider agreements, restructuring
Donaco International Ltd (ASX:DNA) Donaco completes Star Vegas settlement
FRA:UGS) is pleased to confirm that the dispute surrounding the Star Vegas Casino, originally announced on 3 March 2020 has now formally been concluded. This follows the approval from Megabank announced on 22 December 2020.
The accounts for the Half Year Ending 31 December 2020 will fully reflect the positive outcome in accordance to the terms of the settlement. In addition, as recently detailed (18 December 2020), the business has continued to improve to a positive EBITDA as impacts from Covid-19 have moderated from earlier extreme levels. The Company s debt has been reduced significantly and a solid platform for growth is now emerging.